2015 Oklahoma Statutes
Title 37. Intoxicating Liquors
§37-537.3. Winery self-distribution license - Report of sales and payment of taxes - Excess production volume - Prohibited transportation or distribution arrangements - Penalties.

A. Every winemaker or winery electing to directly sell its wines to retail package stores and restaurants must obtain a winery self-distribution license and pay the applicable license fee and shall register its products and post its prices with the state in the same manner required of the holder of a nonresident seller license.

B. Every winemaker or winery electing to directly sell its wines to retail package stores and restaurants shall report all sales to retail package stores and restaurants in this state to the Oklahoma Alcoholic Beverage Laws Enforcement Commission and to the Oklahoma Tax Commission at least monthly, or in accordance with such regulations as such agencies shall adopt and shall pay to the Tax Commission all excise and other taxes imposed by this state upon such wine in the same manner required of the holder of a nonresident seller license.

C. Any self-distributing winemaker within or without this state who shall, in any calendar year, exceed the production volume limit provided for in subsection C of Section 521 of this title, shall immediately notify the Oklahoma Alcoholic Beverage Laws Enforcement Commission of such fact and shall thereafter have the option to sell the wines they produce to every licensed wholesale distributor who desires to purchase the same, on the same price basis and without discrimination, and shall thereafter be allowed to sell such beverages only to such licensed wholesale distributors, or cease to sell its products in this state.

D. All winemakers who conduct business in this state shall be prohibited from creating, forming or participating in any kind of a cooperative or pooled transportation or distribution arrangement.

E. Any licensed winemaker or winery that sells or distributes its wine directly to a retail package store or restaurant in this state after having exceeded the production volume limit provided for in subsection C of Section 521 of Title 37 of the Oklahoma Statutes in any calendar year shall be subject to a fine of Ten Thousand Dollars ($10,000.00). In addition, if the violation is a second or subsequent violation, the winemaker or winery shall not be allowed to transport wine to a retail package store or restaurant for three (3) years from the date of the second or subsequent violation.

F. If Section 3, Article XXVIII of the Oklahoma Constitution is ruled to be unconstitutional by a court of competent jurisdiction, then any licensed winemaker or winery that then continues to sell or distribute its wine directly to a retail package store or restaurant in this state shall be subject to a fine of Ten Thousand Dollars ($10,000.00) per violation.

Added by Laws 2008, c. 349, § 3, eff. Nov. 4, 2008.

NOTE: Section 4 of Laws 2008, c. 349 provides: "This act shall become effective upon certification of elections returns favoring passage of the Constitutional Amendment proposed in Senate Joint Resolution No. 29 of the 2nd Session of the 51st Oklahoma Legislature." State Question No 743, Legislative Referendum No. 346, was adopted at election held on Nov. 4, 2008.